Blenderlaw

As Americans ponder the state of the economy over their kitchen tables, the FSA publishes its Financial Risk Outlook for 2008. Last year’s version had pictures of buildings and bridges, and 2006 was architectural too. This year’s document is full of transport-related pictures, including one of an escalator (a down escalator (!)) at around the point where last year’s outlook had an attractive archway. There is a colourful picture of traffic lights to relieve the gloom. Some of the risks that the FSA notes relate to the position of consumers. For example, the FSA notes declining confidence (among consumers and market participants, and likely problems associated with high levels of consumer debt. The FSA also states :

Our assessment so far is that, while many firms have made progress on building the fair treatment of customers into their culture, there is little evidence that firms’ work on treating customers fairly is translating into improved outcomes for retail consumers.